The investment bank's commission or spread:
A)depends on the quality of the issuing corporation
B)depends on the financial health of the issuing corporation
C)reflects the transfer of risk of raising funds to the investment bank
D)A and B are correct
E)A, B and C are correct

Question

Quizplus · Accepted Answer

The investment bank's commission or spread depends on the quality and financial health of the issuing corporation, as well as reflects the transfer of risk of raising funds to the investment bank. Therefore, options A, B, and C are all correct.

The Investment Bank's Commission or Spread